Electricity Tariff Discounts Part of Economic Stimulus

Jakarta, – In order to maintain economic stability and strengthen people’s purchasing power, the Indonesian government has again launched six economic stimulus packages that will come into effect on June 5, 2025. One of the flagship programs in this package is the provision of a 50% electricity tariff discount to household customers with electricity capacity of 450 VA, 900 VA, 1,300 VA, and up to 2,200 VA.

This discount policy will last for two months, namely June and July 2025, which coincides with the school holiday season. The government hopes that this stimulus will increase household consumption, which has been the largest contributor to Indonesia’s economic growth. Secretary of the Coordinating Ministry for Economic Affairs Susiwijono Moegiarso stated that the government has prepared a total of six stimulus assistance packages.

The provision of various economic stimuli is expected to maintain people’s purchasing power and increase domestic consumption. The government wants to push the economy in the second quarter of 2025 back to 5%.

This discount will be enjoyed by more than 80 million PLN customers who are classified as small households. According to data collected from PT PLN (Persero), this program covers around 97% of total household customers, so it is certain to have a broad impact on the national economy. Customers do not need to register additionally because discounts will be given automatically, both for postpaid and prepaid customers.
“With a customer service system that has been digitized at PLN, we ensure that this discount will be directly applied to the billing and token purchase system. There is no need for a complicated process, customers immediately feel the benefits,” explained PLN President Director, Darmawan Prasodjo.

This step is a continuation of the previous policy which also provided similar discounts in January and February 2025. Its effectiveness in maintaining purchasing power and strengthening domestic demand has led the government to re-adopt it as a short-term fiscal strategy.
The Coordinating Minister for the Economy, Airlangga Hartarto, in his official statement stated that household consumption is the main contributor to Indonesia’s economic growth, reaching more than 50%. Therefore, he emphasized the importance of government support for this consumer group.
“Until the end of the year, we are targeting the economy to continue to grow steadily at 5%. Household consumption must be maintained so that the growth momentum does not stop. Therefore, interventions like this are very crucial, especially during school holidays,” said Airlangga.

This electricity tariff discount is also accompanied by various other stimuli, such as discounts on airline tickets, toll rates, and public transportation subsidies. The government has allocated a special budget for this package, in order to maintain economic stability in the face of the impact of the global slowdown and domestic inflationary pressures following the increase in VAT.

This step has received a positive response from various groups, including small business actors who use household electricity for operations. By saving electricity costs, they can allocate funds for production or marketing purposes.

This economic stimulus is real evidence of the government’s commitment to maintaining public welfare and driving the national economy inclusively. With a combination of direct support to the community and strengthening the consumption sector, it is hoped that Indonesia’s economic growth will remain strong in facing global challenges throughout 2025.